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    • gtanny
    • By gtanny 19th Mar 17, 7:45 PM
    • 179Posts
    • 96Thanks
    Loan settlement figure
    • #1
    • 19th Mar 17, 7:45 PM
    Loan settlement figure 19th Mar 17 at 7:45 PM
    Hi All,

    After a not great credit rating i took a loan out with honeycomb finance for 10k in October last year with an horrifying 35% APR (unfortunately it was the best i could get and i needed the cash)

    i now have 12k sat in my account to repay this at a much better rate of 14% (still not great but 5k less over the term), now i cant ring them till i get a break at work tomorrow but i tried looking online at settlement calculators but one gives me repayment figure of £9880 and the other worries me as it shows £10750.

    i know you tend to pay the interest off gradually but surely in the 5 months payments totalling pennies under £1800 i should of paid off more then £120 of the loan?

    i know only the loan company can give me a definitive answer and they will tomorrow but £1680 it seems a lot of interest in 5 months.

    edit: just done some quick calculations and I'm getting around £9650 ish settlement figure so still harsh but i suppose i have little to no option if i want rid without a black mark on my file.
    Last edited by gtanny; 19-03-2017 at 7:53 PM.
Page 1
    • venison
    • By venison 19th Mar 17, 8:06 PM
    • 1,294 Posts
    • 1,389 Thanks
    • #2
    • 19th Mar 17, 8:06 PM
    • #2
    • 19th Mar 17, 8:06 PM
    The interest is higher at the start of the loan, for early settlement they should only add 2 months interest.
    I am now a Board Guide on the Credit card board and the Loan board and Benefits board (But give me time to learn the ropes thanks).
    • zx81
    • By zx81 19th Mar 17, 8:19 PM
    • 14,117 Posts
    • 14,801 Thanks
    • #3
    • 19th Mar 17, 8:19 PM
    • #3
    • 19th Mar 17, 8:19 PM
    The figures look about right.
    • gtanny
    • By gtanny 19th Mar 17, 9:06 PM
    • 179 Posts
    • 96 Thanks
    • #4
    • 19th Mar 17, 9:06 PM
    • #4
    • 19th Mar 17, 9:06 PM
    Cheers, seems steep but I understand how the loan works so it's fine.

    I'll try negotiating if I get a helpful member of staff but I know I am very unlikely to get anywhere

    Still going to be over 4k better off over the course of the loan and £100+ a month less outgoings so it's for the better to take the hit now.
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